10 Tips to Survive the Crypto Bear Market – Crypto Times | WHs Answers

Crypto investors and traders got off on the right foot and even walked miles to do all things crypto, NFTs and metaverses this year. Yet here we are, thrown into what appears to be a crypto winter and caught in a crypto bear market maelstrom.

Considering recent events, you must have speculated on your crypto assets at times while staring helplessly as your portfolio was painted red.

Do not indulge in the crypto bear market, this will only magnify the losses and associated risk factors. It’s time to re-evaluate your investment tactics and refresh your basic concepts to stay safe during the bear market.

We’ve put together some tips that can be your resourceful ally when the crypto market is in such a tough spot. Let’s start!

  1. Secure your portfolio and HODL

Having a clear vision of your crypto investments and making prudent decisions during a bear run will get you far.

Given the volatility of the crypto space, you must first secure the cryptocurrency in your wallet. To HODL means that you keep your Bitcoin, Ethereum or other well-known cryptocurrencies safe instead of selling them during the crypto bear market.

At the same time, you should also make sure that the cryptos you are holding onto are not from “pump and dump” schemes. While it’s difficult to predict which cryptocurrency will rally or which will go down the drain, you need to keep an eye on trends and news. However, do your research and take time to come to a conclusion instead of panic selling.

  1. develop skills

Regardless of the swings in the crypto bear market, you should always learn new strategies to survive “the bear.” Truth be told, a bear market is the best time to increase your crypto knowledge without the pressure to buy.

Usually everyone is in a cut-throat competition to prevail with the intention of maximizing profits. Therefore, you should gain valuable new insights by familiarizing yourself with the crypto and blockchain concepts.

Learn to read smart contract data, analyze trading patterns, and most importantly, add powerful cryptos to your portfolio for a small fee. This brings us to our next point: consider improving investment formulas and learn from your mistakes during the crypto bear market.

  1. Don’t go against the crypto market

It is better to improve your investment formula and learn not only from your mistakes but also from the mistakes of others. A crypto crash often lures people into trading the market via margin trading or shorting. However, if you still can’t satisfy your trading hunger, you can use these proven trading methods Techniques during a crypto crash.

When all is said and done, change your mindset to take no loss. Take losses and wait for a temporary pump to buy more once the previous low stabilizes.

Especially when we are dealing with the crypto bear market, the first thing you should focus on is survival. Trying to protect your money through margin trading is foolish. Don’t try to treat this market by making crazy plays. The least you can do is stay in the market, generate a new income stream for the up-season and hope for the best.

  1. Dollar Cost Averaging (DCA) will come to the rescue

Investing in a project based on what the so-called crypto community has hyped is a bad idea at any time, not just when suffering from the crypto bear market. In case you have already decided to get involved in a certain crypto project, using DCA is the best way to minimize the risks involved.

A proactive approach to executing your master plan ensures that control remains in your hands. By choosing DCA, you can safely spread your budget over an annual cycle and hit FOMO while waiting for other opportunities in the crypto bear market.

  1. Don’t wait for ATH (All Time High)

Diversifying your portfolio to avoid the impact of post-crypto crashes is a good move, but sometimes buying crypto at low prices doesn’t bring a profit.

Developers often abandon projects during crypto bear markets, and abandoned assets are not properly updated in real time, making the cryptocurrency unstable and vulnerable. It’s fair to say that some cryptos will never reach an all-time high (ATH).

Remember that not all low prices are bargains and some cryptocurrencies are sold at a low cost for a specific purpose! Anyone telling you otherwise is probably trying to trick you into a crypto gawk.

  1. A big no to overestimating the crypto market

Don’t assume that every cryptocurrency you have invested in or plan to invest in will come back. Some cryptos die permanently. There can be many factors that contribute to such losses, including lack of funds, pump-and-dump scams, or even the disappearance of developers or teams.

The crypto bear market is causing fear and concern among investors and traders, whether you are an amateur or a seasoned crypto player. So focus on investing in something of real value that has some authenticity and reputation in the crypto market.

Even in the panic and stress of losing all your money, don’t make an impulse decision too quickly. You never know, in a few years you might be in for a nice surprise. Trust your gut feeling, don’t overestimate and wait patiently.

  1. Comparison with the past is a complete waste

The crypto space is expanding rapidly, but if you compare it to the past, you mostly come across scams and white papers. Back then, most people in the crypto industry were amateurs and the volume was much lower than it was in 2022.

The protocols are now more mature. Undoubtedly, we have protocols with huge cash flows, backed by venture capitalists and a wide user base. So, all those who say everything goes to zero are wrong.

The crypto bear market is only a passing phase, but also a time to reflect and write your own rules and principles to plan for the crypto spring. On the other hand, the fear of crypto winter is completely useless as the crypto market tends to show dramatic swings.

  1. Build an additional source of income

When you experience your first crypto bear market cycle as a newbie, it makes it all the more difficult for you to remain financially calm during such a difficult period. Well, you are not alone in this.

No one is directly telling you to have passive income when dealing with crypto. No matter how much some crypto enthusiasts deny, having an additional source of income is not a bad idea.

The goal is not only to have some cash on hand, but also to stay strong during the crypto crash and even worse, the crypto winter. If the main income suffers constantly over a long period of time, it can bring the person into severe misery, leading to bad financial decisions.

It’s better to analyze where you stand, how much money you can afford to lose and prepare for the better days that are definitely ahead.

  1. Stick to your strategy

In the midst of the crypto bear market, a lack of proper risk management can turn any winning trade into a losing trade very quickly. Because of this, a right trading strategy can help you avoid making emotional decisions. It is therefore recommended that you stick to your own well-researched strategy.

You can also mitigate risk and keep your emotions in check by simply setting Take Profit (TP) and Stop Loss (SL) orders up front. Consequently, it would be easier for you to lessen the stress in the overall crypto bear market and keep you from making emotionally influenced decisions.

  1. Invest in yourself

Crypto players know how much they sacrifice to master the trading and investing game. During this crypto bear market, you should probably build and invest in your non-crypto friendships to stay connected to your roots.

Invest in your physical and mental health, take it as a recovery period to increase the odds in times to come. Also, some things are more important than money, like family, friends, health, and relationships. Get the crypto bear out of your head and use this time to empower your personal growth areas.

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